Will China inflation remain in negative territory?
Data released in China on Wednesday are expected to show a key inflation marker remains lodged in negative territory even as scrutiny of the country’s interest rate environment intensifies.
Economists polled by Bloomberg forecast a 0.3 per cent year-on-year decline in the consumer price index in February, unchanged from a month earlier. CPI in China turned negative in November for the first time in more than a decade.
Inflation data in China, which comes a day before the country’s National People Congress concludes in Beijing, will be closely watched by traders and investors looking for signs of when the country will adjust its main interest rate policy following a rapid economic recovery from the coronavirus pandemic.
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